Top 150+ Solved Income Tax Law and Practice MCQ Questions Answer
Q. Salary received from a former employer is treated as an income under the head:
a. Salaries
b. Profits and gains from business or profession
c. Capital gains
d. Other sources
Q. Remuneration received from a person other than employer is treated an income under the head:
a. Salaries
b. Profits and gains from business or profession
c. Capital gains
d. Other sources
Q. Which among the following is a deduction allowed under section 16 :
a. Employment tax
b. Standard deduction
c. Entertainment Allowance
d. All of the above
Q. Pension is treated as an income under the head:
a. Salaries
b. Capital gains
c. Other sources
d. None of these
Q. Annuity received from the present employer is treated as income under:
a. Salary under section 17(1)
b. Perquisites
c. Allowances
d. Profit in lieu of salary
Q. Annuity received from former employer is treated as income under:
a. Salary under section 17(1)
b. Profit in lieu of salary
c. Allowances
d. Perquisites
Q. Annual accretion is taxable under:
a. Salary under section 17(1)
b. Perquisites
c. Allowances
d. Profit in lieu of salary
Q. Per-diem allowance given for the purpose of lodging facilities is :
a. Fully taxable
b. Fully exempted
c. Partly taxable
d. None of these
Q. Sumptuary allowance to Judges of Supreme Court and High Court is:
a. Fully taxable
b. Fully exempted
c. Partly taxable
d. None of these
Q. HRA received by an employee who is living in own house is:
a. Fully taxable
b. Fully exempted
c. Partly taxable
d. None of these
Q. Standard deduction allowed from salary for A. Y 2019-20 is:
a. Rs: 35,000
b. Rs: 40,000
c. Rs: 50,000
d. None of these
Q. Entertainment allowance received by an employee of statutory corporation is:
a. Fully exempted
b. Fully taxable
c. Partly Exempted
d. None of these
Q. Children education allowance is exempt up to .................. per month per child for a maximumof two children.
a. Rs: 100
b. Rs: 200
c. Rs: 300
d. Rs: 500
Q. Rent free accommodation is an example for:
a. Allowance
b. Profit in lieu of salary
c. Perquisites
d. None of these